Question
Calculate Operating Surplus: Items Rs
in crore Compensation of employees 2000 Rent and interest 800 Indirect taxes 120 Corporation Tax 460 Consumption of fixed capital 100 Subsidies 20 Dividend 940 Undistributed profits 300 Net factor income to abroad 150 Mixed income 200 ÂSolution
Profit=Dividend + Corporation Tax + Undistributed profits = 940 + 460 + 300 = 1700 Operating Surplus = Rent + Interest + Profit = 800 + 1700 = 2500
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